A less loophole-riddled system for taxing companies is within reach

  • 📰 TheEconomist
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The G7 has backed a global minimum corporate-tax rate of at least 15% and a reallocation of taxing rights. But this is only a first step

Mr Biden’s motives are not pure: he is driven less by principle than a desire to squeeze more out of American firms to finance his post-pandemic spending priorities. Nevertheless, thecountries’ proposals, which their finance ministers approved on June 5th, are welcome. The international tax system sits on foundations laid in the 1920s. For much of the following century policymakers’ concern was to avoid double taxation, not curb abuse.

Any deal emerging from the global talks would be far from perfect. It would raise only modest sums relative to covid-induced holes in budgets. It would curb, but not end, the use of loopholes; corporate tax departments are too clever for that. It is likely to give more to advanced economies than developing ones, meaning there will be pressure to revisit the deal.

 

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This is the group of self proclaimed good guys

G7 should change its name to C7. “Cartel”

Yep, tax the bastards!!!

Janet is wearing her purple.

wow

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